Abu Dhabi has launched a new association backed by the emirate’s financial free zone to hasten the development of blockchain and cryptocurrencies in the region.<\/p>\n
The Middle East, Africa and Asia Crypto and Blockchain<\/a> Association (MEAACBA), a non-profit organisation backed by Abu Dhabi Global Market<\/a>, aims to bring industry players together to discuss strategies and address the biggest challenges facing the industry, while also integrating digital assets into key economic sectors.<\/p>\n The ADGM-based association counts major cryptocurrency platforms such as Mubadala-backed MidChains<\/a>, Dubai-based BitOasis<\/a>, Bahrain’s Rain<\/a>, Crypto.com<\/a> and Binance<\/a>, the world’s biggest cryptocurrency exchange by trading volume, among its partners.<\/p>\n \u201cThe UAE is heading to become one of the best international financial centres, and we want to be a recognised contributor to the development of the diversified and sustained development of the UAE economy,\u201d ADGM chairman Ahmed Al Zaabi said during a speech at the launch event in Abu Dhabi on Tuesday.<\/p>\n \u201cWe strongly believe that MEAACBA will constantly contribute towards the bolstering of the UAE\u2019s digital economy and adoption \u2026 and will have an impact in the region and globally.\u201d<\/p>\n The move positions Abu Dhabi and the UAE at the forefront of innovation, in line with government objectives to capitalise on the continuing digital transformation to transition into a knowledge-based and smart economy.<\/p>\n Blockchain is the underlying technology behind cryptocurrencies and decentralised finance, which is generally considered to be a safer way to conduct transactions<\/a> and one that could end up replacing middlemen, such as brokers and banks, in the financial system.<\/p>\n The UAE has taken several steps to integrate blockchain into the economy, government and society as part of efforts to develop the future economy.<\/p>\n Blockchain, in particular, has received special focus, with a number of government initiatives established, including the Emirates Blockchain Strategy 2021 and the Dubai Blockchain Strategy, as well as the formation of the Global Blockchain Council.<\/p>\n Last year, ADGM revealed its plans to double the number of its cryptocurrency exchanges<\/a> to expand online asset trading options for investors.<\/p>\n Global cryptocurrency exchanges such as Binance<\/a>, Kraken<\/a> and eToro<\/a> have flocked to the ADGM to secure operating licences, as they seek to tap into the potential of the Emirates’ cryptocurrency market.<\/p>\n Jehanzeb Awan, chairman of the new association, speaking at its launch in Abu Dhabi on Tuesday. Ruel Pableo \/ The National <\/span><\/p>\n<\/figcaption><\/figure>\n The UAE digital economy contributes 4.3 per cent to the national economy, according to government data.<\/p>\n The Emirates has also been moving up the ranks as a recognised global cryptocurrency centre. It is now among the top five nations in terms of adoption, with annual transactions worth $25 billion, according to consultancy PwC.<\/p>\n Meanwhile, the wider Mena region is the fastest-growing cryptocurrency market in the world, accounting for 9.2 per cent of global digital currency transactions <\/a>from July 2021 to June 2022, according to blockchain data platform Chainalysis.<\/p>\n The global blockchain market is also booming and projected to grow to $7.18bn this year and $164bn by 2029 at a compound annual rate of more than 56 per cent, from about $4.7bn in 2021, according to Fortune Business Insights.<\/p>\n![\"Jehanzeb](\"https:\/\/thenational-the-national-prod.cdn.arcpublishing.com\/resizer\/OaHKazH0uosYu41-Wn0rse1HREA=\/1440x0\/filters:format(jpg):quality(70)\/cloudfront-eu-central-1.images.arcpublishing.com\/thenational\/P6Q73KSESVGWPNVEWN735AJO4M.jpg\")